A Case of Whiplash for London Renters

Same city, two stories: Corporate employees relocating to London may find their budgets tightened. But ultrawealthy summer residents are spending lavishly.

By

Ruth Bloomfield

April 24, 2014 5:50 p.m. ET

Each spring, an army of assistants descends on London. They work for a range of bosses—Middle Eastern families, Eastern European oligarchs, billionaire entrepreneurs, Hollywood stars, and CEOs of multinational companies—and have a single mission: To find a summer rental for their employers.

Despite a global array of tenants willing to pay astronomical sums, prime rents in London have been on something of a roller coaster in recent years. Average rental rates in prime central London stand at $102 a square foot a year,...